Howdy👋🏾. OpenAI co-founder and former Chief Science Officer Ilya Sutskever spoke at NeurIPS recently, and one of his quotes stuck with me: data is the “fossil fuel” of AI. It’s strange to think of human thought, creativity, and internet content as finite, but here we are.

For years, companies like Google, Meta, and OpenAI have scoured the internet for data to train their models. But we’re approaching the limit of what humans have collectively created. A feature in Nature underscores this, suggesting we’ve hit peak data. As AI produces more content, we will face diminishing returns by training new AI models solely on existing human-generated information.

“We’ve achieved peak data and there’ll be no more. There’s only one internet.”

-Sutskever

This resonates with a challenge we’ve seen before: Moore’s Law. In the 1970s, Gordon Moore observed that the number of transistors on a circuit would double every two years, creating exponential growth in processor speed. That held steady for decades until 2010 when progress slowed.

The slowing of Moore’s Law didn’t stop innovation; instead, we found new ways to improve computing—leveraging GPUs, multi-core processors, and advanced memory systems. I see AI heading in a similar direction.

Rather than brute-force growth fueled by infinite data, the focus shifts to making AI more intelligent and efficient. This means models that:

• The ability to reason with limited data.
• Creation of new knowledge or insights from existing information.
• Act as agents that can solve problems, complete tasks, and interact with external systems dynamically.

We’re already seeing this shift. OpenAI’s recent reasoning models, including its $200/month Pro offering, point to AI that doesn’t just “memorize” data but thinks about it—connecting dots, solving problems, and making observations.

It’s a necessary pivot because AI trained on AI-generated data often fails unpredictably (Nature article). To keep advancing, AI has to reason rather than regurgitate. For businesses and individuals, this shift highlights something important. The true power of AI isn’t about having “more data” but knowing how to make the most of the data you already have. Models are evolving beyond basic chatbots into tools that reason, plan, and take action.

The race is no longer just about bigger models—it’s about smarter ones. Now, here are my thoughts on tech & things:

🔒 FBI Recommends Encrypted Messaging The FBI advises everyone to switch to end-to-end encrypted solutions like iMessage, WhatsApp, or Signal after China allegedly breached U.S. phone systems, accessing calls and texts. It’s a stark reminder that phone calls, SMS messages, and emails are generally unencrypted and vulnerable to interception. Read more.

📱The 12 Days of Ship-mas marches on with OpenAI’s latest creative release—a new 1-800 number for ChatGPT!You can now call or text ChatGPT to ask questions, making AI even more accessible. While it’s more of a novelty than a groundbreaking feature, it’s a fun and clever way to showcase the potential of conversational AI. Check it out here

🛠️AR/VR tech takes another leap forward with Blackmagic’s new immersive production tools. Blackmagic, creators of DaVinci Resolve, unveiled new tools that make high-quality immersive productions more accessible. This could be a big push for AR/VR adoption and a win for creators looking to innovate. More details on Blackmagic’s latest.

Last week, I had a blast at the AI Summit in NYC, hosting two sessions, one on privacy and security in AI and another on workforce development, with two brilliant new friends.

I can’t believe next week is Christmas, and crazier still, next year is already jam-packed with events.

• CES 2025 kicks things off in Vegas. Follow me on Instagram, TikTok, or YouTube for posts as I explore the expo floor.
• SUNO AI Workshop Series begins. Five virtual and hybrid sessions (every other week) targeting business users who want a head start in AI. Sessions are $150 each, but SUNO faculty, staff, and friends of the Entrepreneurs office attend for free.
• SMS 2025 in North Carolina, where I’ll be speaking about AI alongside the pending print release of my book.
• WTCI’s AGILE: Empowering Global Disaster Response with Tech We’re back for our second event, exploring how technology changes disaster recovery.

Looking forward to seeing you out and about, so please stop by and say hi!

-jason

P.s. What in the drone is happening? I own a handful of DJI drones, including the new DJI Neo, and wow, these things are incredible. The Neo makes me feel like Mr. Wizard whenever it lands in my palm. But seriously, have you seen what’s happening in NJ?